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CHAPTER 3
Leadership Behavior and Motivation
Chapter Outline
I. LEADERSHIP BEHAVIOR AND STYLES
A. Leadership Behavior
B. Leadership Styles and the University of Iowa Research
II. UNIVERSITY OF MICHIGAN AND OHIO STATE UNIVERSITY STUDIES
A. University of Michigan: Job-Centered and Employee-Centered Behavior
B. Ohio State University: Initiating Structure and Consideration Behavior
C. Differences, Contributions, and Applications of Leadership Models
III. THE LEADERSHIP GRID
A. Leadership Grid Theory
B. Leadership Grid and High-High Leader Research
C. Behavioral Theory Contributions and Applications
IV. LEADERSHIP AND MAJOR MOTIVATION THEORIES
A. Motivation and Leadership
B. The Motivation Process
C. An Overview of Three Major Classifications of Motivation Theories
V. CONTENT MOTIVATION THEORIES
A. Hierarchy of Needs Theory
B. Two-Factor Theory
C. Acquired Needs Theory
D. Balancing Work-Life Needs
VI. PROCESS MOTIVATION THEORIES
A. Equity Theory
B. Expectancy Theory
C. Goal-Setting Theory
D. Using Goal Setting to Motivate Employees
VII. REINFORCEMENT THEORIES
A. Types of Reinforcement
B. Schedules of Reinforcement
C. You Get What You Reinforce
D. Motivating with Reinforcement
E. Giving Praise
VIII.PUTTING THE MOTIVATION THEORIES TOGETHER WITHIN THE MOTIVATION PROCESS
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New To This Edition
The chapter has been updated and 86% percent of the references are new to this edition while listing the
classical references to leadership and motivation theory.
The opening case is still Trader Joe’s, but it has been updated and shortened.
The introduction to the chapter has been re-written with all new references.
The University of Michigan and Ohio State University Studies section has been shortened a bit.
The section, Motivation and Leadership, has been re-written with all new references.
The section on Reinforcement Theory has been shortened some, and the subsection The Folly of
Rewarding A, While Hoping for B with Exhibit 13.12 has been deleted.
The end of chapter case is new, Facebook COO Sheryl Sandberg. There is also a new role play exercise
that goes with it.
Lecture Outline
PowerPoint: You may use the PowerPoint supplement to enhance your lectures. Even if your classroom is not
equipped to use PowerPoint, you can review the material on your personal computer to get teaching ideas and to
copy the slides. Copies of the slides can be made into overheads. (Chapter title on Slide 3-1 and LOs on 3-2)
VII. LEADERSHIP BEHAVIOR AND STYLES
A. Leadership Behavior (Slide 3-3)
By the late 1940s, most of the leadership research had shifted from the trait theory paradigm to the behavioral
theory paradigm, which focuses on what the leader says and does.
Although the behavioral leadership theory made major contributions to leadership research, it never achieved its
goal of finding one best style.
1. Leadership Behavior Is Based on Traits (Slide 3-4)
Although the behavioral theorists focus on behavior, it is important to realize that leaders’ behaviors are
based on their traits and skills.
The manager’s leadership personality traits and attitudes directly affect his or her behavior and relationship
with employees.
B. Leadership Styles and the University of Iowa Research
Learning Outcome (LO) 3-1. List the University of Iowa leadership styles.
The University of Iowa leadership styles are autocratic and democratic.
Leadership style is the combination of traits, skills, and behaviors leaders use as they interact with followers.
Although a leadership style is based on traits and skills, the important component is the behavior, because it is a
relatively consistent pattern of behavior that characterizes a leader. (Slide 3-5)
1. University of Iowa Leadership Styles (Slide 3-6, also holds Exhibit 3.1)
The University of Iowa leadership studies identified two basic leadership styles:
Autocratic leadership style. The autocratic leader makes the decisions, tells employees what to do, and
closely supervises workers.
Democratic leadership style. The democratic leader encourages participation in decisions, works with
employees to determine what to do, and does not closely supervise employees.
The autocratic and democratic leadership styles are often placed at opposite ends of a continuum; thus a
leader’s style usually falls somewhere between the two styles.
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The Iowa studies contributed to the behavioral movement and led to an era of behavioral rather than trait
research. It started a taxonomy, or classification, of leadership behavior still used today.
WORK APPLICATION 3-1
Recall a present or past manager. Which of the University of Iowa leadership
styles does or did your manager use most often? Describe the behavior of your
manager.
II. UNIVERSITY OF MICHIGAN AND OHIO STATE UNIVERSITY STUDIES
Leadership research was conducted at Ohio State and the University of Michigan at about the same time during the
mid-1940s to mid-1950s.
These studies were not based on prior autocratic and democratic leadership styles, but rather sought to determine the
behavior of effective leaders.
Self-Assessment 3-1
Your Behavioral Leadership Style
If you want students to complete the Self-Assessment exercises throughout the
book, you may want to tell students and spend a little time talking about them.
LO 3-2. Describe similarities and differences between the University of Michigan and Ohio State
University leadership models.
The University of Michigan and Ohio State University leadership models are similar because they are both
based on the same two distinct leadership behaviors, although the models use different names for the two
A. University of Michigan: Job-Centered and Employee-Centered Behavior (Slide 3-7, Exhibit 3.2 on Slide 3-8)
The University of Michigan Leadership Model identifies two leadership styles: job-centered and employee
centered.
Job-Centered Leadership Style
The job-centered style has scales measuring two job-oriented behaviors of goal emphasis and work
facilitation.
Job-centered behavior refers to the extent to which the leader takes charge to get the job done.
Employee-Centered Leadership Style
The employee-centered style has scales measuring two employee-oriented behaviors of supportive
leadership and interaction facilitation.
Employee-centered behavior refers to the extent to which the leader focuses on meeting the human
needs of employees while developing relationships.
CONCEPT APPLICATION 3-1
University of Michigan Leadership Styles
Answers to the Concept Application questions are at the end of lecture outline.
B. Ohio State University: Initiating Structure and Consideration Behavior (Slide 3-9 and Exhibit 3.3 on 3-10)
In the attempt to measure leadership styles, researchers at Ohio State University developed an instrument
known as the Leader Behavior Description Questionnaire (LBDQ).
Respondents to the questionnaire perceived their leader’s behavior toward them on two distinct dimensions or
leadership types, which they eventually called initiating structure and consideration.
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Initiating structure behavior. The initiating structure leadership style is essentially the same as the job
Consideration behavior. The consideration leadership style is essentially the same as the employee-
The Ohio State University Leadership Model identifies four leadership styles: low structure and high
WORK APPLICATION 3-2
Recall a present or past manager. Which of the four Ohio State leadership styles
does or did your manager use most often? Describe the behavior of your manager.
C. Differences, Contributions, and Applications of Leadership Models (Slide 3-11, Discussion Question on Slide 3-12)
1. Differences between the Models
The Ohio State and University of Michigan leadership models are different in that the University of
Michigan places the two leadership behaviors at opposite ends of the same continuum, making it one-
2. Contributions of the Models
There is no one best leadership style in all situations is the first contribution, because it has helped lead
researchers to the next paradigm—that of contingency leadership theory.
Prior to the two university leadership studies, many organizations had focused on getting the job done with
3. Applications of the Models
Through our ongoing self-assessment, we can determine how we are coming across to others and how we
III. THE LEADERSHIP GRID
LO 3-3. Discuss similarities and differences between the Ohio State University Leadership Model and
the Leadership Grid.
Both theories are based on the same two leadership behaviors, but use different names for the two
dimensions. The theories are different because the Leadership Grid identifies five leadership styles, with
A. Leadership Grid Theory (Slide 3-13)
The Leadership Grid builds on the Ohio State and Michigan studies; it is based on the same two leadership
dimensions, which are called concern for production and concern for people.
The Leadership Grid identifies five leadership styles: 1,1 impoverished; 9,1 authority-compliance; 1,9 country
club; 5,5 middle of the road; and 9,9 team leader. See Exhibit 3.4 for an adaptation of the Leadership Grid.
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Following are descriptions of leadership styles in the Leadership Grid: (Slide 3-14, also Exhibit 3.4)
The impoverished leader (1,1) has low concern for both production and people. The leader does the
The authority-compliance leader (9,1) has a high concern for production and a low concern for people. The
The country-club leader (1,9) has a high concern for people and a low concern for production. The leader
The middle-of-the-road leader (5,5) has balanced, medium concern for both production and people. The
The team leader (9,9) has a high concern for both production and people. This leader strives for maximum
WORK APPLICATION 3-3
Recall a present or past manager. Which of the five Leadership Grid styles does or
did your manager use most often? Describe the behavior of your manager.
CONCEPT APPLICATION 3-2
The Leadership Grid
Answers to the Concept Application questions are at the end of lecture outline.
B. Leadership Grid and High-High Leader Research (Slide 3-15, Discussion Question on Slide 3-16)
The high-high leader has concern for both production and people.
Although there is some support for the high-high leader style as the universal theory, the style is not accepted as
the one best style in all situations.
C. Behavioral Theory Contributions and Applications (Slide 3-17)
Critics suggested that different leadership styles are more effective in different situations. Thus, a contribution
of behavioral research is that it led to the shift in paradigm to contingency leadership theory.
A second contribution of behavioral leadership theory was the recognition that organizations need both
production and people leadership.
A third related contribution of behavioral leadership theory supports coleadership.
Self-Assessment 3-2
Your Personality Traits and Leadership Styles
If you want students to complete the Self-Assessment exercises throughout the
book, you may want to tell students and spend a little time talking about them.
IV. LEADERSHIP AND MAJOR MOTIVATION THEORIES
A. Motivation and Leadership (Slide 3-18, Exhibit 3.5 on Slide 3-19)
Motivation is anything that affects behavior in pursuing a certain outcome. We tend to seek job satisfaction as
we satisfy our self-interest.
B. The Motivation Process
Through the motivation process, people go from need to motive to behavior to consequence to satisfaction or
dissatisfaction.
Some need or want motivates all behavior. However, needs and motives are complex: We don’t always know
what our needs are, or why we do the things we do.
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Like traits, motives cannot be observed; but you can observe behavior and infer what the person’s motive is
(attribution theory).
C. An Overview of Three Major Classifications of Motivation Theories (Slide 20, also Exhibit 3.6)
There is no single, universally accepted theory of how to motivate people, or how to classify the theories. In the
following sections, you will learn about content motivation theories, process motivation theories, and
reinforcement theory.
See Exhibit 3.6 for this classification, which is commonly used, with a listing of major motivation theories you
will learn.
V. CONTENT MOTIVATION THEORIES (Slide 21)
LO 3-4. Discuss similarities and differences among the three content motivation theories.
Similarities among the content motivation theories include their focus on identifying and understanding
employee needs. The theories identify similar needs, but are different in the way they classify the needs.
Hierarchy of needs theory includes physiological, safety, belongingness, esteem, and self-actualization
needs. Two-factor theory includes motivators and maintenance factors. Acquired needs theory includes
achievement, power, and affiliation needs and includes no lower-level needs, as the other two theories do.
Content motivation theories focus on explaining and predicting behavior based on people’s needs. The primary
reason people do what they do is to meet their needs or wants—to be satisfied.
A. Hierarchy of Needs Theory (Slide 22)
In the 1940s, Abraham Maslow developed his hierarchy of needs theory, which is based on four major
assumptions:
(1) Only unmet needs motivate.
(2) People’s needs are arranged in order of importance (hierarchy) going from basic to complex needs.
(3) People will not be motivated to satisfy a higher-level need unless the lower-level need(s) has been at least
minimally satisfied.
(4) Maslow assumed that people have five classifications of needs, which are presented here in hierarchical
order from low to high level of need.
1. Hierarchy of Needs (Slide 23)
The hierarchy of needs theory proposes that people are motivated through five levels of needs—
physiological, safety, belongingness, esteem, and self-actualization.
a. Physiological needs: These are people’s primary or basic needs: air, food, shelter, sex, and relief from
or avoidance of pain.
b. Safety needs: Once the physiological needs are met, the individual is concerned with safety and
security.
c. Belongingness needs: After establishing safety, people look for love, friendship, acceptance, and
affection. Belongingness is also called social needs.
d. Esteem needs: After the social needs are met, the individual focuses on ego, status, self-respect,
recognition for accomplishments, and a feeling of self-confidence and prestige.
e. Self-actualization needs: The highest level of need is to develop one’s full potential. To do so, one
seeks growth, achievement, and advancement.
Maslow’s work was criticized because it did not take into consideration that people can be at different
levels of needs based on different aspects of their lives. Nor did he mention that people can revert back to
lower-level needs.
Today, Maslow and others realize that needs are not on a simple five-step hierarchy.
2. Motivating Employees with Hierarchy of Needs Theory (Slide 3-24 holds Exhibit 3.7)
See Exhibit 3.7 for a list of ways in which managers attempt to meet all five needs.
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WORK APPLICATION 3-4
On what level of the hierarchy of needs are you at this time for a specific aspect of
your life (professional or personal)? Be sure to specify the level by name, and
explain why you are at that level.
B. Two-Factor Theory
In the 1960s, Frederick Herzberg published his two-factor theory.
Herzberg combined lower-level needs into one classification he called hygiene or maintenance; and higher-
level needs into one classification he called motivators.
The two-factor theory proposes that people are motivated by motivators rather than maintenance factors.
Self-Assessment 3-3
Job Motivators and Maintenance Factors
If you want students to complete the Self-Assessment exercises throughout the
book, you may want to tell students and spend a little time talking about them.
1. Maintenance—Extrinsic Factors
Maintenance factors are also called extrinsic motivators because motivation comes from outside the person
and the job itself.
Extrinsic motivators include pay, job security, working conditions; fringe benefits; and relationships. These
factors are related to meeting lower-level needs.
2. Motivators—Intrinsic Factors
Motivators are called intrinsic motivators because motivation comes from within the person through the
work itself.
Intrinsic motivators include achievement, recognition, challenge, and advancement. These factors are
related to meeting higher-level needs, and are better at motivating than extrinsic factors.
3. Herzberg’s Two-Factor Motivation Model (Slide 3-27, includes Exhibit 3.8)
Herzberg and associates, based on research, disagreed with the traditional view that satisfaction and
There are two continuums: not dissatisfied with the environment (maintenance) to dissatisfied, and satisfied
Employees are on a continuum from dissatisfied to not dissatisfied with their environment. Herzberg
4. Money as a Motivator (Slide 3-28)
The current view of money as a motivator is that money matters more to some people than others, and that
5. Motivating Employees with Two-Factor Theory
Under the old management paradigm, money (and other extrinsic motivators) was considered the best
Herzberg fits the new paradigm: He says that managers must first ensure that the employees’ level of pay
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WORK APPLICATION 3-5
Recall a present or past job; are you or were you dissatisfied or not dissatisfied
with the maintenance factors? Are or were you satisfied or not satisfied with the
motivators? Be sure to identify and explain your satisfaction with the specific
maintenance and motivator factors.
C. Acquired Needs Theory (Slide 3-29 and Exhibit 3.9 in on Slide 3-30)
Acquired needs theory proposes that people are motivated by their need for achievement, power, and
affiliation.
Acquired needs theory says that all people have the need for achievement, power, and affiliation, but to varying
degrees. Here are some ideas for motivating employees based on their dominant needs:
Motivating employees with a high n Ach: Give them nonroutine, challenging tasks with clear, attainable
Motivating employees with a high n Pow: Let them plan and control their jobs as much as possible. Try to
Motivating employees with a high n Aff: Be sure to let them work as part of a team. They derive satisfaction
WORK APPLICATION 3-6
Explain how your need for achievement, power, and/or affiliation has affected
your behavior, or that of someone you work with or have worked with. What were
the consequences of the behavior, and was the need satisfied?
D. Balancing Work-Life Needs (Slide 3-31 and Discussion Question on Slide 3-32)
The lines between life and work are blurring together for many people due to organizations working around the
clock in a global marketplace, with a focus on getting more done with fewer people.
Two major things organizations are doing to help employees meet their personal needs are providing on-site day
care centers—or giving employees information to help them find good day care and elder care—and offering
flextime.
VI. PROCESS MOTIVATION THEORIES
LO 3-5. Discuss the major similarities and differences among the three process motivation theories.
The similarity among the three process motivation theories includes their focus on understanding how
employees choose behaviors to fulfill their needs. However, they are very different in their perceptions of
how employees are motivated. Equity theory proposes that employees are motivated when their perceived
inputs equal outputs. Expectancy theory proposes that employees are motivated when they believe they can
accomplish the task and the rewards for doing so are worth the effort. Goal-setting theory proposes that
achievable, difficult goals motivate employees.
Process motivation theories focus on understanding how people choose behavior to fulfill their needs.
Process motivation theories attempt to understand why people have different needs, why their needs change, how
and why people choose to try to satisfy needs in different ways, the mental processes people go through as they
understand situations, and how they evaluate their need satisfaction.
A. Equity Theory (Slide 3-34)
Equity theory proposes that employees are motivated when their perceived inputs equal outputs.
1. Rewarding People Equitably
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Through the equity theory process, people compare their inputs (effort, experience, loyalty, commitment,
seniority, etc.) and outputs (financial compensation and intangibles of praise, recognition, etc.) to that of
relevant others.
A comparison with relevant others leads to three conclusions: The employee is under-rewarded, over-
rewarded, or equitably rewarded.
2. Motivating with Equity Theory (Slide 3-35)
According to equity theory, when employees believe they are equitably rewarded they are not actively
motivated.
However, when employees believe they are under-rewarded, they are demotivated.
Equity theory offers some of the following useful general recommendations:
a. Managers should be aware that equity is based on perception.
b. Rewards should be equitable.
c. High performance should be rewarded so performance does not decrease.
WORK APPLICATION 3-7
Give an example of how equity theory has affected your motivation, or that of
B. Expectancy Theory (Slide 3-36 and assumptions on Slide 3-37)
Expectancy theory is based on Victor Vroom’s formula: motivation = expectancy × instrumentality × valence.
Expectancy theory proposes that people are motivated when they believe they can accomplish the task, they
will get the reward, and the rewards for doing the task are worth the effort.
The theory is based on the following assumptions: Both internal (needs) and external (environment) factors
affect behavior; behavior is the individual’s decision; people have different needs, desires, and goals; and
people make behavior decisions based on their perception of the outcome.
1. Three Variables (Slide 3-38)
All three variable conditions must be met in Vroom’s formula for motivation to take place.
2. Motivating with Expectancy Theory
The following conditions should be implemented to make the theory result in motivation:
a. Clearly define objectives and the performance needed to achieve them.
WORK APPLICATION 3-8
Give an example of how expectancy theory has affected your motivation, or that
of someone else you work with or have worked with. Be sure to specify the
expectancy and valence.
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C. Goal-Setting Theory (Slide 3-40 with Model 3.1 on Slide 3-41)
Goal-setting theory proposes that specific, difficult goals motivate people.
1. Writing Objectives
The parts of the writing objectives model are (1) To + (2) action verb + (3) singular, specific, and
measurable result to be achieved + (4) target date.
2. Criteria for Objectives (Slide 3-42 and Slide 3-43 and Critical Thinking Question #5 on Slide 3-44)
For an objective to be effective, it should include the four criteria listed in steps 3 and 4 of the writing
objectives model:
a. Singular result. To avoid confusion, each objective should contain only one end result. When multiple
objectives are listed together, one may be met but the other(s) may not.
WORK APPLICATION 3-9
1. Using the writing objectives model, write one or more objectives for an
organization you work for or have worked for that meet the criteria for
objectives.
2. Give an example of how a goal(s) affected your motivation and performance,
or those of someone else you work with or have worked with.
YOU MAKE THE ETHICAL CALL 3.1
Academic Standards
Answers will vary based on opinion.
CONCEPT APPLICATION 3-3
Objectives
Answers to the Concept Application questions are at the end of lecture outline.
D. Using Goal Setting to Motivate Employees (this statement included on Slide 3-40)
Goal setting might be the most effective management tool available.
VII. REINFORCEMENT THEORY (Slide 3-46, Skinner and Exhibit 3.10 on Slide 3-45)
Reinforcement theory proposes that through the consequences for behavior, people will be motivated to behave in
predetermined ways.